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Update of Emission Trading after Copenhagen Daniele RUSSOLILLO Fondazione per l’Ambiente
Summary  |  the topics covered… ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
World CO2 Emissions?  |  Mt (Total since 1900)
World CO2 Emissions?  |  Mt  (2009, per capita)
World CO2 Emissions?  |  Mt  (2009, per country)
World CO2 Emissions?  |  Mt  (2020, per country)
Copenhagen Accord  |  Main facts ,[object Object],[object Object],[object Object]
Copenhagen Accord  |  Main facts ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Copenhagen Accord  |  …the “legal character” of it… (*) extracted from the original communication; for an accurate reference please go to: http://unfccc.int/files/parties_and_observers/notifications/application/pdf/100125_noti_clarification.pdf Yvo de Boer Executive Secretary of the UNFCCC since the 10 th of August 2006 (He will leave the United Nations on 1 July 2010 to join international consulting group KPMG as global adviser on climate and sustainability) (*)
Copenhagen Accord  |  Annex-I Countries commun.
Copenhagen Accord  |  Non Annex-I Countries comm. Afghanistan  Armenia Benin  Bhutan  Botswana Brazil  Central African Republic  China   Congo Costa Rica Côte d'Ivoire    Mexico  Mongolia  Morocco Papua New Guinea  Republic of Korea Republic of Moldova San Marino  Sierra Leone Singapore  South Africa  The former Yugoslav Republic of Macedonia Togo  Ethiopia Eritrea  Gabon  Georgia Ghana India  Indonesia Israel  Jordan Madagascar  Maldives Marshall Islands  Mauritania These non Annex-I countries have communicated the n ationally appropriate mitigation actions(*) (*) simplified table; for an accurate reference please go to: http://unfccc.int/home/items/5265.php
Copenhagen Accord  |  Non Annex-I Countries comm. China (*) <<… China will endeavor to lower its carbon dioxide emissions  per unit of GDP by 40-45% by 2020 compared to the 2005  level, increase the share of non-fossil fuels in primary energy consumption to around 15% by 2020 and increase forest coverage by 40 million hectares and forest stock volume by 1.3 billion cubic meters by 2020 from the 2005 levels…>> EU (*) <<…As part of a global and comprehensive agreement for the period beyond 2012, the EU reiterates its conditional offer to move to a  30% reduction by 2020 compared to 1990 levels , provided that other developed countries commit themselves to comparable emission reductions and that developing countries contribute adequately according to their responsibilities and respective capabilities…>> (*) extracted from original communications; for an accurate reference please go to http://unfccc.int/home/items/5264.php  (EU) and http://unfccc.int/home/items/5265.php (China)
Market Based Instruments  |  A short introduction ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],European Environmental Agency Report no. 1/2006 “… MBI help realising simultaneously environmental, economic and social policy objectives by taking account of the hidden costs of production and consumption to people’s health and environment in a cost-effective way…”
ETS – Rationale  |  Policy framework analysis ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
After the implementation of 2009/29/EC Start in 2005,  Cap  via National Allocation Plan Regulatory period and Cap: GHG reduction of 20% (30%) by 2020 vs. 1990 Objective Included:  Combustion (>20MW of rated thermal input), Metals industry, and cement clinker, lime, ceramics, glass and paper industry,  aviation  (from 1/1/2012) Excluded : incineration of waste, biomass-only fired power plants (any size) , “units” < 3MW  (any fuel) of rated thermal input  Main categories considered  Carbon dioxide (CO2), Methane (CH4),  Nitrous Oxide (N2O) Hydrofluorocarbons (HFCs), Perfluorocarbons (PFCs) Sulphur Hexafluoride (SF6) GHG considered 1 EUA = EU Allowance, i.e. the right to emit    1 ton CO 2  equivalent Emission permit EU-ETS – How does it work?  |  The scheme
Source: CarbonMarketData.com EU-ETS & Aviation  |  A  preliminary  picture…!
Source: Elaboration of data from CarbonMarketData.com EU-ETS Compliance  |  Results from 2005 to date
Source: CarbonMarketData.com EU-ETS Compliance  |  Emissions to Cap (2008) [Mt]
Source: CarbonMarketData.com EU-ETS Compliance  |  Emissions to Cap (2008) [%]
Source: CarbonMarketData.com EU-ETS Compliance  |  Emissions to Cap (2009) [Mt]
Source: CarbonMarketData.com EU-ETS Compliance  |  Emissions to Cap (2009) [%]
Source: data from EEX – European Energy Exchange EUAs – Market results ?  |  Spot market trading: last 12 months
Source: data from EEX – European Energy Exchange EUAs – Market results ?  |  Spot market trading: since it started
Source: data from EEX – European Energy Exchange Market results ?  |  Carbon futures trading (MidDec 2010) Second Period European Carbon Futures  | MidDec (2010) Prices and trading volumes|2010/05/07|European Energy Exchange
Source: data from EEX – European Energy Exchange Market results ?  |  Carbon futures trading (MidDec 2012) Second Period European Carbon Futures | MidDec (2012) Prices and trading volumes|2010/05/07|European Energy Exchange
[object Object],[object Object],[object Object],[object Object],[object Object],FINAL REMARKS  |  Policy issues at stake…
FA  |  www.fondazioneambiente.org ,[object Object],[object Object],[object Object]
For more information, feel free to  contact me: Daniele RUSSOLILLO [email_address] Fondazione per l’Ambiente  Via Pomba 23, I-10123, Torino, Italy Tel  +39 011 571 47 50 Fax +39 011 571 47 51 www.fondazioneambiente.org Thank you for your kind attention  |  Contacts

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Update of Emission Trading after Copenhagen

  • 1. Update of Emission Trading after Copenhagen Daniele RUSSOLILLO Fondazione per l’Ambiente
  • 2.
  • 3. World CO2 Emissions? | Mt (Total since 1900)
  • 4. World CO2 Emissions? | Mt (2009, per capita)
  • 5. World CO2 Emissions? | Mt (2009, per country)
  • 6. World CO2 Emissions? | Mt (2020, per country)
  • 7.
  • 8.
  • 9. Copenhagen Accord | …the “legal character” of it… (*) extracted from the original communication; for an accurate reference please go to: http://unfccc.int/files/parties_and_observers/notifications/application/pdf/100125_noti_clarification.pdf Yvo de Boer Executive Secretary of the UNFCCC since the 10 th of August 2006 (He will leave the United Nations on 1 July 2010 to join international consulting group KPMG as global adviser on climate and sustainability) (*)
  • 10. Copenhagen Accord | Annex-I Countries commun.
  • 11. Copenhagen Accord | Non Annex-I Countries comm. Afghanistan  Armenia Benin  Bhutan  Botswana Brazil  Central African Republic  China   Congo Costa Rica Côte d'Ivoire    Mexico  Mongolia  Morocco Papua New Guinea  Republic of Korea Republic of Moldova San Marino  Sierra Leone Singapore  South Africa  The former Yugoslav Republic of Macedonia Togo  Ethiopia Eritrea  Gabon  Georgia Ghana India  Indonesia Israel  Jordan Madagascar  Maldives Marshall Islands  Mauritania These non Annex-I countries have communicated the n ationally appropriate mitigation actions(*) (*) simplified table; for an accurate reference please go to: http://unfccc.int/home/items/5265.php
  • 12. Copenhagen Accord | Non Annex-I Countries comm. China (*) <<… China will endeavor to lower its carbon dioxide emissions per unit of GDP by 40-45% by 2020 compared to the 2005 level, increase the share of non-fossil fuels in primary energy consumption to around 15% by 2020 and increase forest coverage by 40 million hectares and forest stock volume by 1.3 billion cubic meters by 2020 from the 2005 levels…>> EU (*) <<…As part of a global and comprehensive agreement for the period beyond 2012, the EU reiterates its conditional offer to move to a 30% reduction by 2020 compared to 1990 levels , provided that other developed countries commit themselves to comparable emission reductions and that developing countries contribute adequately according to their responsibilities and respective capabilities…>> (*) extracted from original communications; for an accurate reference please go to http://unfccc.int/home/items/5264.php (EU) and http://unfccc.int/home/items/5265.php (China)
  • 13.
  • 14.
  • 15. After the implementation of 2009/29/EC Start in 2005, Cap via National Allocation Plan Regulatory period and Cap: GHG reduction of 20% (30%) by 2020 vs. 1990 Objective Included: Combustion (>20MW of rated thermal input), Metals industry, and cement clinker, lime, ceramics, glass and paper industry, aviation (from 1/1/2012) Excluded : incineration of waste, biomass-only fired power plants (any size) , “units” < 3MW (any fuel) of rated thermal input Main categories considered Carbon dioxide (CO2), Methane (CH4), Nitrous Oxide (N2O) Hydrofluorocarbons (HFCs), Perfluorocarbons (PFCs) Sulphur Hexafluoride (SF6) GHG considered 1 EUA = EU Allowance, i.e. the right to emit 1 ton CO 2 equivalent Emission permit EU-ETS – How does it work? | The scheme
  • 16. Source: CarbonMarketData.com EU-ETS & Aviation | A preliminary picture…!
  • 17. Source: Elaboration of data from CarbonMarketData.com EU-ETS Compliance | Results from 2005 to date
  • 18. Source: CarbonMarketData.com EU-ETS Compliance | Emissions to Cap (2008) [Mt]
  • 19. Source: CarbonMarketData.com EU-ETS Compliance | Emissions to Cap (2008) [%]
  • 20. Source: CarbonMarketData.com EU-ETS Compliance | Emissions to Cap (2009) [Mt]
  • 21. Source: CarbonMarketData.com EU-ETS Compliance | Emissions to Cap (2009) [%]
  • 22. Source: data from EEX – European Energy Exchange EUAs – Market results ? | Spot market trading: last 12 months
  • 23. Source: data from EEX – European Energy Exchange EUAs – Market results ? | Spot market trading: since it started
  • 24. Source: data from EEX – European Energy Exchange Market results ? | Carbon futures trading (MidDec 2010) Second Period European Carbon Futures | MidDec (2010) Prices and trading volumes|2010/05/07|European Energy Exchange
  • 25. Source: data from EEX – European Energy Exchange Market results ? | Carbon futures trading (MidDec 2012) Second Period European Carbon Futures | MidDec (2012) Prices and trading volumes|2010/05/07|European Energy Exchange
  • 26.
  • 27.
  • 28. For more information, feel free to contact me: Daniele RUSSOLILLO [email_address] Fondazione per l’Ambiente Via Pomba 23, I-10123, Torino, Italy Tel +39 011 571 47 50 Fax +39 011 571 47 51 www.fondazioneambiente.org Thank you for your kind attention | Contacts